Recently, India and Bhutan have strengthened their relationship by agreeing to discuss new regional connectivity routes, upgrade border and immigration posts, and enhance trade and partnership. This announcement came during the Bhutan King’s visit to India, adding momentum to the deepening relationship between these two neighbouring countries.
Key Highlights of the Discussion
The discussion between the Indian and Bhutanese authorities yielded several significant outcomes that will shape the future of their bilateral relations. A plan was developed for cross-border rail links between Gelephu in Bhutan and Kokrajhar in Assam, in addition to an 18km rail link between Samtse in Bhutan and Banarhat in West Bengal. Both sides also discussed facilitating trade through an agreement allowing Bhutanese trade items to be transported from Haldibari in West Bengal to Chilahati in Bangladesh via Indian territory.
Further Developments
An immigration check post will be established at the Darranga-Samdrup Jongkhar border crossing between Assam and Bhutan’s SouthEastern district. Both sides also agreed to strengthen trade infrastructure, with the upgradation of the existing land customs station at Dadgiri. This project is expected to bolster the Bhutanese SEZ project, with India indicating support.
India’s Commitment to Bhutan’s Socio-economic Development
India has committed to continue providing its full support for Bhutan’s socio-economic development, specifically focusing on the 13th Five-Year Plan, thereby demonstrating a strong commitment to bilateral ties. This support builds on India’s significant contribution to Bhutan’s 12th Five Year Plan, worth Rs 4,500 crore.
Lauding India’s Support for Global South
Bhutan commended India for its successful organization of the G20 Summit, acknowledging India’s efforts to integrate Global South countries into G20 deliberations.
India-Bhutan Energy Partnership
Progress on the construction of the 1020 MW Punatsangchhu-II hydropower project was enthusiastically noted. The existing energy partnership between the two countries is set to expand beyond hydro to non-hydro renewables, including solar and green initiatives related to hydrogen and e-mobility.
Significance of Bhutan for India
Bhutan’s strategic location makes it a crucial buffer state for India. The two nations share strong economic, cultural, environmental, and strategic ties.
Challenges in India-Bhutan Relations
Despite the overall positive relationship, certain issues have emerged, such as China’s growing influence in Bhutan, border disputes, disagreements over the terms of hydropower projects, and trade imbalances.
About Bhutan
Nestled between India and China, Bhutan is a landlocked country with deep valleys and towering mountains. Thimphu is its capital, and its government functions as a parliamentary monarchy.
The Way Forward
India can further enhance its relationship with Bhutan by investing in infrastructure development, promoting cultural exchanges, establishing visa-free movement, and strengthening strategic cooperation to address shared security concerns.